TAZARA Railway to Receive USD 1.4 Billion Investment From China for Revitalization

The Tanzania-Zambia Railway Authority (TAZARA) is set to receive over USD 1.4 billion from the China Civil Engineering Construction Corporation (CCECC) to revitalize its railway infrastructure and operations.

The announcement was made by TAZARA’s Managing Director and CEO, Eng. Bruno Ching’andu, during the Zambia International Mining and Energy Conference (ZIMEC 2025), held on March 19–20, 2025, in Kitwe, Zambia.

The investment will be executed under a 30-year concession agreement, marking a significant step toward transforming TAZARA into a more efficient and reliable transport corridor.

This initiative aims to address the railway’s declining performance and restore its operational efficiency, benefiting key stakeholders in the mining and logistics sectors, who are TAZARA’s primary customers.

The USD 1.4 billion investment will focus on two critical areas. USD 1.0 billion will be allocated to the full rehabilitation of the railway track infrastructure, enhancing safety, efficiency, and capacity. An additional USD 0.4 billion will fund the procurement of 32 new locomotives and 762 wagons, significantly boosting freight and passenger transport capacity.

The 30-year concession will be divided into two phases. The first three years will focus on construction and rehabilitation, while the remaining 27 years will involve full operational management by CCECC.

Periodic major overhauls and continuous maintenance will also be conducted throughout the concession period to ensure long-term sustainability.

Eng. Ching’andu emphasized that the decision to grant a concession followed an in-depth evaluation of TAZARA’s challenges, which necessitated urgent intervention.

The Public-Private Partnership (PPP) model was chosen to align with TAZARA’s long-term vision and the interests of its shareholders.

The investment will enable TAZARA to rehabilitate its railway track, acquire new rolling stock, and cover operational costs through concession fees.

This will ensure uninterrupted service delivery and position TAZARA as a competitive and sustainable transport solution for the region.

Eng. Bruno Ching’andu described the investment as a turning point for TAZARA, stating, “This concession will mark the beginning of a new era for TAZARA. The investment will not only restore our railway infrastructure but also position TAZARA as a key enabler of trade and economic growth between Tanzania and Zambia. Through this strategic partnership, we are ensuring that TAZARA remains a competitive and sustainable transport solution for the region.”

The revitalization project is expected to enhance regional trade, reduce transportation costs, and improve connectivity across the Dar es Salaam corridor.